Documentation and Proof of Construction Delay
Presented by: J. Scott Lowe, Lowe, P.E. P.E. Trauner Consulting Services, Ser vices, Inc. P.O. Box 509 • Eau C laire, WI 54702-0509 • Phone: 8 66-352-9539 • Fax: 715-833 -3953 Email:
[email protected] • Web: www.lorman.com • Seminar ID: 386128
This manual was created or online viewing. State specic inormation in this manual is used or illustration and is an example only. only.
Documentation and Proof of Construction Delay
Prepared by: J. Scott Lowe, Lowe, P.E. P.E. Trauner Consulting Services, Ser vices, Inc.
© 2010 Lorman Education Services. All Rights Reserved. All Rights Reserved. Lorman seminars are copyrighted copyrighted and may not be recorded recorded or transcribed transcribed in whole or part without without its express prior written written permission. Your attendance attendance at a Lorman Lorman seminar constitutes constitutes your agreement agreement not to record record or transcribe all all or any part o it. This publication is designed to provide general inormation on the seminar topic presented. presented. It is sold with the understanding that the publisher is not engaged in rendering any legal or proessional services. Although this manual is prepared prepared by proessionals, it should not be used as a substitute substitute or proessional services. I legal or other proessional advice is required, the services o a proessional should be sought. This disclosure may be required by the Circular 230 regulations o the United States Treasury and the Internal Revenue Service. We inorm you that any ederal tax advice contained in this written communication (including (including any attachments) is not intended to be used, and cannot be used, or the purpose o (i) avoiding avoiding ederal tax penalties penalties imposed by the ederal ederal government government or (ii) promoting, promoting, marketing marketing or recommending to another party any tax related matters addressed herein. The opinions or viewpoints expressed by the aculty members do not necessarily refect those o Lorman Education Services. These materials were prepared by the aculty members who are solely responsible or their correctness and appropriateness. Lorman Education Services, P.O. P.O. Box 509, Eau Claire, WI 54702-0509 • Phone: 866-352-9539 • Fax: 715-833-3953 Email address:
[email protected] [email protected] • Website: www.lorman.com www.lorman.com • Seminar ID: 386128
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Determination and Documentation of Construction Delay
Speaker:
Scott Lowe, P.E.
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“Lorman Education Services” is a Registered Provider with The American Institute of Architects Continuing Education Systems. Credit earned on completion of this program will be reported to CES Records for AIA members. Certificates of Completion for non-AIA members are available on request.
This program is registered with the AIA/CES for continuing professional education. As such, it does not include content that may be deemed or construed to be an approval or endorsement by the AIA of any material of construction or any method or manner of handling, using, distributing, or dealing in any material or product. Questions related to specific materials, methods, and services will be addressed at the conclusion of this presentation. The learning objectives met in attending this program are: • You will be able to recognize the importance of contemporaneous documents. • You will be able to identify what schedules should be used. • You will be able to explain common approaches to the analysis of delay. • You will be able to review measurement and determination of delay.
© 2009 Lorman Education Services. All Rights Reserved. Lorman programs are copyrighted and may not be recorded or transcribed in whole or part without its express prior written permission. Your attendance at a Lorman program constitutes your agreement not to record or transcribe all or any part o f it. This publication is designed to provide general information on the topic presented. It is s old with the understanding that the publisher is not engaged in rendering any l egal or professional services. Although this manual is prepared by professionals, it should not be used as a substitute for p rofessional services. If legal or other professional advice is required, the services of a professional should be sought. This disclosure may be required by the Circular 230 regulations of the United States T reasury and the Internal Revenue Service. We inform you that any federal tax advice contained in this written communication (including any attachments) is not intended to be used, and cannot be used, for the purpose of (i) avoiding federal tax penalties imposed by the federal government or (ii) promoting, marketing or recommending to another party any tax related matters addressed herein. The opinions or viewpoints expressed by the faculty members do not necessarily reflect those of Lorman Education Services. These materials were prepared by the faculty members who are solely responsible for their correctness and appropriateness.
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Meet Your Instructor 9Scott Lowe 9Principal, Trauner Consulting Services 920 Years Experience 9Professional Engineer 9Instructor, Scheduler, Author, Analyst, Expert Witness
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Key Terms: Schedule Baseline or As-Planned Schedule Schedule Updates As-Built Information Contemporaneous Schedules After-the-Fact Schedules
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Schedule A schedule is a time-based plan to construct a project The schedule may also identify logic, costs, and resources
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Schedule The two most common types of construction schedules Bar Chart Schedule Activity Utility Relocation Civil Construction Landscaping Project Complete
Duration Start Finish 15 17-Sep-04 07-Oct-04 40 08-Oct-04 02-Dec-04 15 03-Dec-04 23-Dec-04 0 23-Dec-04
SEP
2004 OCT NOV
DEC
20
50
CPM Schedul e
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Schedule The ideal Baseline or As-Planned Schedule is the earliest complete and approved project schedule
0
10
30
40
60
TIME
A
B
C
D
As-Pl anned Sch edule
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5
Schedule A Schedule Update/Revision is created to monitor progress on the plan and adjust the plan to reflect all changes in the logic or duration of the work activities.
0
10
20
30
40
50
TIME A
B
C
D
Schedule Update
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Schedule Contemporaneous [of the time] Schedules prepared and used during the project to manage the work
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After-the-Fact Schedules created after the project has been completed
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The Critical Path The Critical Path Determines the project’s completion date Is the longest continuous sequence of work Exists on every project Is dynamic and can change throughout the course of the project
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The Critical Path
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Float Float is the amount of time an activity can be delayed without causing delay to the completion of the project (or some intermediate project milestone, depending on which critical path you’re focusing on)
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Float As a concept As a mathematical calculation Negative float Is float still a useful number?
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Float
Who owns the float?
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Measurement and Determination of Delay Contract Provisions Analyzing Delays
Beforehand
Afterwards
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The Contract 108.6.1 General* If warranted, the engineer will extend the contract completion date by issuing a "Contract Amendment" (Form E_61). The engineer will do so only if an excusable delay extends the scheduled late finish date beyond the lattermost contract completion date or its most recent extension. The engineer will not consider a request to revise partial or contract completion dates without notice as specified in subsection 104.2.7, "Contractor-Department Notification," and without documentation from the project schedule, including updates, supporting the need for a revision. The engineer will evaluate the information submitted and determine the time extension due, if any.
*Excerpted from the Wyoming Department of Transportation, Section 108.6, Extension to the Contract Completion Date
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The Contract 108.6.1 General* If warranted, the engineer will extend the contract completion date by issuing a "Contract Amendment" (Form E_61). The engineer will do so only if an excusable delay extends the scheduled late finish date beyond the lattermost contract completion date or its most recent extension. The engineer will not consider a request to revise partial or contract completion dates without notice as specified in subsection 104.2.7, "Contractor-Department Notification," and without documentation from the project schedule, including updates, supporting the need for a revision. The engineer will evaluate the information submitted and determine the time extension due, if any.
*Excerpted from the Wyoming Department of Transportation, Section 108.6, Extension to the Contract Completion Date
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The Contract 108.6.1 General The engineer will not grant a time extension based on pleas that the contract specified insufficient time for the completion of the project.
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The Contract 108.6.2 Excusable Delays Excusable delays are delays that the contractor cannot reasonably foresee or avoid and are not the contractor's fault or responsibility; they include, but are not limited to:
1.
delays due to floods, tornadoes, lightning strikes, earthquakes, fires, epidemics, or similar natural phenomena;
2.
weather delays as specified in subsection 108.6.5, "Working Day Extensions for Increased Quantities";
3.
extraordinary, unforeseen, and unavoidable delays in material deliveries;
4.
delays due to the acts of government entities other than the department;
5.
delays from industry-wide strikes affecting the contractor's (or subcontractors' or suppliers') workforce that are beyond the contractor's power to settle;
6.
if time allowances are not specified, or if specified allowances are exceeded, delays caused by the noncompletion of work by utilities or other third parties;
7.
delays arising from a contract amendment in accordance with subsection 104.2, "Contract Amendments."
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The Contract 108.6.2 Excusable Delays Excusable delays are delays that the contractor cannot reasonably foresee or avoid and are not the contractor's fault or responsibility; they include, but are not limited to:
1.
delays due to floods, tornadoes, lightning strikes, earthquakes, fires, epidemics, or similar natural phenomena;
2.
weather delays as specified in subsection 108.6.5, "Working Day Extensions for Increased Quantities";
3.
extraordinary, unforeseen, and unavoidable delays in material deliveries;
4.
delays due to the acts of government entities other than the department;
5.
delays from industry-wide strikes affecting the contractor's (or subcontractors' or suppliers') workforce that are beyond the contractor's power to settle;
6.
if time allowances are not specified, or if specified allowances are exceeded, delays caused by the noncompletion of work by utilities or other third parties;
7.
delays arising from a contract amendment in accordance with subsection 104.2, "Contract Amendments."
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The Contract 108.6.3 Nonexcu sable Delays Nonexcusable delays are delays caused by the contractor or that the contractor could reasonably have foreseen or avoided. The engineer will not make an extension to partial or contract completion dates for nonexcusable delays.
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The Contract Contract Provisions may also address compensability, identifying delays for which the contractor is due additional compensation in addition to a time extension.
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Analyzing Delays: Beforehand The components and documents required for analysis: The Schedule
Is it approved? Is it contemporaneous? Is it current?
The Change
What work activities are being added? How long will the new work take?
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Analyzing Delays: Beforehand Basic procedure 1. Identify new work activities added by the change. 2. Determine the “schedule”for this new work.
This mini-schedule is called a “fragnet.” 3. Identify the contemporaneous schedule. 4. Update the schedule, if necessary, to the date of
the change. 5. Insert the change order fragnet into the updated
schedule. 6. Evaluate the results. 24
The Project
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Baseline Schedule
Original Project Completion: July 13
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The Change On February 1, the owner informed the contractor that to accommodate the spawning season this year, the project’s environmental permit had been modified. The second cofferdam, located in a flowing portion of the river, could not be installed until March.
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Update for Change FIRST, Update the Schedule to the date of the change: February 1
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Update for Change
SECOND, Identify the Current Project Completion Date: July 19 29
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Adjust for Change
THIRD, Adjust the schedule for the change, Adding in an activity for the restricted period, which could also have used a constraint or calendar.
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Adjust for Change
THIRD, Adjust the schedule for the change, Adding in an activity for the restricted period, which could also have used a constraint or calendar.
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Adjust for Change
Don’t forget to run the schedule Note that the critical path has changed
FOURTH, Identify the Current Project Completion Date: July 22 32
Adjust for Change
FOURTH, Identify the Current Project Completion Date: July 22 33
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Analyzing Delays: Beforehand 1. What was the completion date?
Before the change: J uly 19 After the change: J uly 22
2. The change order issued for the permit revision should include a 3-day time extension. 3. Alternately, the work could be accelerated to mitigate the delay and achieve timely completion.
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Analyzing Delays: Afterwards Impacted As-Planned Analysis Collapsed As-Built Analysis Windows Analysis Contemporaneous Schedule Analysis As-Built Analysis
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Analyzing Delays: Afterwards Impacted As-Planned Analysis After-the-fact schedule Subjective Static Analysis Typically rejected by the courts, panels, and boards
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Analyzing Delays: Afterwards Collapsed As-Built Analysis After-the-fact schedule Very subjective Easily challenged Very time-consuming and expensive
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Analyzing Delays: Afterwards Windows Analysis Often uses contemporaneous schedules But not always all of them Subjective in that choice of window affects outcome Often fails to detect critical path shifts shown on contemporaneous schedules
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Analyzing Delays: Afterwards Contemporaneous Uses the contemporaneous schedules Critical path assessed every day Subjectivity is eliminated or reduced Requires a schedule to analyze
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Analyzing Delays: Afterwards As-built Works when there are no schedules or no usable schedules Critical Path assessed every day Ignores plan May not allow analyst to identify and quantify every day of delay
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Contemporaneous Analysis Methodology 0
10
20
30 TIME
A
B
C
D
As-Plann ed Sched ule
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22
40
50
60
Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME
A
B
C
D
As-Bu ilt Schedu le
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME A A
B B
C C
D D
As-Plann ed vs As -Bui lt Sc hedule
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME
10-Day Extended Duration
A A
B B
C C
D D
10-Day Extended Duration of Acti vity A
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME A A
B
5-Day Late Start
B
C C
D D
5-Day Late Start of Activi ty B
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME A A
B B
10-Day Delay C C
C
C
D D
10-Day Delay Due to Interruptions to Activity C
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME A A
B B
C C
C
C
D D
No Delay to Activity D
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME A A
B B
C C
D
25 Days D
As-Plann ed vs As -Bui lt Sc hedule
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Contemporaneous Analysis Methodology 0
10
20
30
40
50
60
TIME
10-Day Extended Duration
A A
B
5-Day Late Start
SUMMARY OF DELAYS
B
10-Day Delay C C
C
C
D D
Summary of Delays
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ACTIVITY A
10 DAYS
ACTIVITY B
5 DAY S
ACTIVITY C
10 DAYS
ACTIVITY D
0 DAY S
Documenting Delays Focus on contemporaneous documentation Schedule Reviews and Approvals Daily Reports, Logs, & Diaries Notice
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Contemporaneous Documents Often more credible Closer to the event; less memory dependent Fixed, story can’t change Remember to date and sign May appear to be less biased
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Schedule Reviews and Approvals Contemporaneous Identifies problem areas and helps avoid delays Establishes an agreement as to dates and times for both parties
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Daily Reports, Logs, & Diaries Often the best contemporaneous documents Must be prepared daily Must be detailed Should substantiate the writer’s evaluation of performance Date and sign
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Notice Often required If required, provide it Adhere to contract specification requirements Negotiate notice requirements prior to the start of construction Keep it simple; develop a form letter
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QUESTIONS & ANSWERS
Trauner Publications Just Released!
Scott Lowe, P.E. Trauner Consu lting Services, Inc. 1617 J FK Blvd, Ste 600 Philadelphia, PA 19103 Phone: 215-814-6400 Fax: 215-814-6440
[email protected]
Feel Free to Contact Me for More Information 55
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This concludes The American Institute of Architects Continuing Education Systems Program. Feel free to approach today’s speakers if you have additional questions or would like clarification on a topic covered in today’s program. Thank you for choosing Lorman Education Services for your continuing education needs.
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Notes
